NEA OKs Zamcelco’s request for review re gensets purchase PDF Print E-mail
Friday, 25 April 2014 13:14

Engr. George Ledesma, general manager of  Zamboanga City Electric Cooperative, Inc. (Zamcelco) yesterday disclosed that the National Electrification Administration (NEA) has officially turned over to the Office of the Secretary of the Department of Energy (DOE) all documents for “appropriate review” regarding the cooperative’s request for review of its decision in choosing Camec JCB for the acquisition of modular gensets.

Zamcelco had earlier requested NEA to review the coop’s decision after it disapproved its recommendation on Camec-JCB saying it was very expensive compared to another bidder’s offer.

“Basically, it’s the DOE that has the final say, especially, the review on interconnections whether there’s a need for that. They’re going to get a third party which is the National Grid Corporation of the Philippines (NGCP) to have it reviewed whether that’s necessary or not,” Ledesma said.

Zamcelco personnel and employees yesterday gathered at the coop’s Multi-purpose Covered Court for the announcement of what transpired as Zamcelco management and officials paid a courtesy visit to NEA and DOE early this week.

“We have to inform them of what’s happening and to start within the coop of what’s going on,” Ledesma said.

It was gathered that the issues and concerns raised by Zamcelco include: 1. No Approved Budget Cost (ABC) was given for the interconnection facilities; 2. The 16-MW power supply is half the requirement of Pagadian City; The price difference between JCB (P39 million per MW) and Lin Man (P33.75/MW) is only 13.46%; and NEA did not call and ask about the interconnection facility.

While Zamcelco’s requirements on the procurement of modular gensets include 1. Delivery, site preparation, installation, testing and commissioning; 2. Interconnection to include equipment, materials and labor cost; 3. Working Capital (about Php 92.7million) ; and contingency to include securing of ECC.

The modular genset project is one of the priority programs of President Aquino through DOE’s Special Account in the General Fund from Gas-Malampaya Revenue to be released to NEA with a funding of 4.5 billion pesos.

This is to provide an immediate relief or an alternative measure to supply the needed power in each of the franchised areas of EC’s in Mindanao while power generation project is still under various development stages. — MLF